Me n hubby got married last year and staying at house A with his bro+wife & sister.
Hubby bought a house at butkit beruntung many years ago using EPF scheme, and have refinance using house A. So butkit beruntung house no longer need to pay and only need to pay the the refinance amount for house A. Rawang house no longer have market values, thus he refinance using house A.

Now, we have found a 2nd house C nearby cost 360k. But hubby cant take out money from EPF anymore as he has used his 1st house scheme. If house C only have my name, then I can use my EPF and his EPF for renovation of house C (he can withdraw to help spouse to pay house loan if his name not in the S&P). But to get a house loan alone, I afraid I am not quality enough to loan > 300K. If the loan not approved, then d deposit for House C, will be forfeited.

Another issues come into our mind is MRTA. If the house bear both of ur name, if any bad thing happen to either one of us, the other parties do not need to pay the loan anymore.

So, do you think its rational just to put my name into for the house C, that we can take out both our EPF to renovate or as deposit ? But if any bad thing happen to me, my hubby still have to bear to pay the loan for me ?

Or should I put both names for house C but we cant take out his EPF to utilise to pay off the loan ? As he is earning quite a decent pay which means his EPF money can helps a lot if he can take out for the deposit or yearly dump into the loan to reduce the interest.

What is the best approach ?

1. Deposit for House C shouldn't be forfeited if you can prove you cannot obtain financing.

2. Name on property doesn't have to be the same as name on the loan. Borrowers ability to service the loan is more important to banker. Ask banker or mortgage agent for more details.

3. MRTA depends on who is servicing the loan. If both your income is needed, then both should buy insurance.

tgrr :

1. this only applies to purchase from developer. if you are purchasing 2nd hand, you have to negotiate this term before paying the earnest deposit. also make sure that a rejection letter from 1 bank will suffice.

2. you are right. can easily take a 3rd party loan, i.e buy under one name, but take loan under 2 names.

1) the agent told us, the deposit will be forfeited if cannot obtain financing.

2) if the name on property doesnt have to be the same as name on the loan, which mean i can have both names for the property and loan applied by me whereas hubby can take out his EPF to help me to pay the loan ?

if both names apply for the loan, then hubby not able to take EPF ?

then wat is the best approach ? as hubby earn quite an decent pay and his EPF in account II still have 50k in it eventhough he already used it for his 1st house in beruntung. Account II will grow 10k each year and we feel to dump that amount into the loan every year will be very useful to reduce the interest significantly.

This post has been edited by choongjoey: Aug 29 2008, 11:01 AM

For EPF u can still help your husband in the contribution since you are the spouse. You don have to register you name for this purpose.

There is a procedure and forms are avai. at EPF for it. I have done it myself.

1. I thought it's the deposit for buying from developer. If it's the earnest deposit for subsale, then it's buyer's responsibility to follow up with purchase of property.

2. Like I said, banker only cares borrower capability to service the loan. Since you said you have issue obtaining loan >300k, you can't take the loan with just your name. For your case you don't have to put both names on the property S&P/title if it's not necessary.

3. I'm not sure about the EPF for spouse thing, am not familiar about the EPF for servicing interest nowadays. But you have the option of not putting your hubby name on house C so why don't you check with EPF first?